J.M. Smucker pet food segments net sales stood at US$2.8445 billion in its fiscal year 2021, which ended on April 30, a decline from US$8.8695 billion in FY20. The pet segment made up 36% of Smucker’s approximately US$8 billion in net sales for FY21.
“In the pet business, we divested the specialty channel exclusive Natural Balance brand,” CEO Mark Smucker said during a J.M. Smucker earnings call on June 3.
Smucker FY21 fourth quarter results
In the fourth quarter, pet food net sales hit US$674.6 million, down 12% compared year over year. Smucker pet food and treat segment profits were US$101.7 million.
“In pet food, we anticipated sales to be down due to lapping stock-up purchasing in the prior year,” Smucker said. “Net sales, excluding sales for the divested Natural Balance business, decreased 6% and demonstrated growth on a two-year basis.”
Smucker retails sales by pet food type
- Dog food – 35%
- Snacks – 31%
- Cat food – 30%
- Private label – 5%
“Excluding the non-comparable net sales for the divested Natural Balance business, net sales decreased 6% versus the prior year,” CFO Tucker Marshall said. “Net sales grew at a 2% CAGR on a two-year basis, excluding the divestiture. Dog snacks continue to perform well, decreasing just 1% in the fourth quarter after a growth of 12% in the prior year. Cat food decreased 4% following 18% growth in the prior year. Dog food net sales decreased 15% reflecting anticipated declines versus the prior year.
“Pet food segment profit declined 32%, primarily reflecting lower volume mix, increased marketing investments and increased freight and transportation costs, partially offset by higher net pricing.”
In FY22, Smucker said he expects top line growth on a comparable basis for the pet business in fiscal '22, supported by higher pricing, category growth, continued marketing support and innovation for our leading treats portfolio and premium food offerings.
